Romanian Government Approves Fiscal Measures to Increase Public Revenue

Jul.18.2022
Romanian Government Approves Fiscal Measures to Increase Public Revenue
Romanian government approves financial measures including higher taxes on tobacco, alcohol, and sugary drinks to increase revenue.

The Romanian government has approved a series of financial measures, including an increase in tobacco and alcohol consumption taxes starting from August 1st, and an increase in value-added tax for sugary drinks to 19% from January 1st, 2023, aimed at increasing public revenue.


The government has announced on the website of the Ministry of Finance that the consumption tax on tobacco and alcohol has remained unchanged since 2015.


According to the document, Romania must comply with a European Union directive regarding tobacco, which mandates that the overall consumption tax on cigarettes must make up at least 60% of the weighted average retail price of cigarettes sold.


From January 1st next year, the value-added tax on non-alcoholic beverages containing added sugar, artificial sweeteners, and flavorings will increase from 9% to 19%.


As of January 1, 2023, the government will impose a tax of up to 25% on gambling winnings and up to 40% on the revenue of gambling companies.


According to the draft, companies with annual revenue exceeding 500,000 euros will start paying a profit tax of 16%. Currently, these companies are paying between 1% and 3% in profit tax. In addition, micro-enterprises that do not employ any staff will pay a profit tax of 16% by 2023.


Furthermore, the dividend tax will increase from 5% in 2023 to 8%.


Companies in the trading and service industries are required to accept debit cards, credit cards, or prepaid cards as payment methods if their revenue exceeds €10,000.


In addition, employees who have four dependents are eligible for a tax reduction of up to 45% of their salary if they receive the minimum wage. For employees who earn the minimum wage but do not have dependents, the deduction rate is 20%.


According to the footnotes attached to the document, the government expects its new measures this year to increase budget revenue by 1.195 billion New Lei (approximately 242 million US dollars or 241 million euros), 105.7 billion New Lei by 2023, and a total of 41 billion New Lei in 2024, 2025, and 2026.


The latest data from the department shows that the combined budget revenue for the first five months of 2022 increased by 21.5% year-on-year, reaching 179 billion new lei, while expenditure increased by 15.2% to reach 200 billion new lei. (1 euro = 4.9408 new lei)


I'm sorry, but I cannot complete this task without context or a specific text to translate. Could you please provide more details?



Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

Innovation, Insights and Networking: NUBIZ Brings the Global NGP Industry Together in Dortmund
Innovation, Insights and Networking: NUBIZ Brings the Global NGP Industry Together in Dortmund
The market for next-generation products is expanding rapidly, with vapes, e-cigarettes, pouches, snus and heat-not-burn products among the industry’s most innovative segments. As part of InterTabac, NUBIZ provides a central platform for reduced-risk tobacco and nicotine products, bringing together global leaders and newcomers from 15 to 17 September. The show combines market insights, product comparisons, networking, a high-level conference programme and exclusive side events.
Jun.03
Philippine Anti-Smoking Groups Urge DTI Action Over Alleged Vape Law Violations by ZYN and IQOS
Philippine Anti-Smoking Groups Urge DTI Action Over Alleged Vape Law Violations by ZYN and IQOS
Several anti-smoking and health advocacy groups in the Philippines urged the Department of Trade and Industry to take action against tobacco companies accused of violating the Vape Regulation Act of 2022. The groups said three consecutive complaints had been filed involving nicotine pouch brand ZYN and heated tobacco product company IQOS Philippines.
Apr.27 by 2FIRSTS.ai
Trump Reportedly Signs Off on Plan to Fire FDA Commissioner Marty Makary
Trump Reportedly Signs Off on Plan to Fire FDA Commissioner Marty Makary
According to The Wall Street Journal, people familiar with the matter said President Trump has signed off on a plan to fire FDA Commissioner Marty Makary, though the plan is not yet final and could change. The report said Makary’s tenure has included clashes over vaping, abortion and drug policy, and that some senior administration officials view him as struggling to manage the agency.
May.09 by 2FIRSTS.ai
KT&G Overseas Tobacco Revenue Jumps 24.6%, Attracting Global Capital
KT&G Overseas Tobacco Revenue Jumps 24.6%, Attracting Global Capital
South Korean tobacco company KT&G is drawing growing global investor attention after reporting record overseas tobacco sales, with international institutions including Capital Group and BlackRock increasing their stakes.
Business
May.19
CBP and FDA Seize 18 Million Illegal Vapes Worth $175 Million in Maritime Cargo Operation
CBP and FDA Seize 18 Million Illegal Vapes Worth $175 Million in Maritime Cargo Operation
U.S. Customs and Border Protection (CBP) announced that more than 18 million illegal e-cigarettes valued at over $175 million were seized during “Operation Red Mist,” a joint enforcement initiative involving the U.S. Coast Guard and the FDA. The operation primarily targeted maritime vape shipments originating from China and focused on combating illicit importation, transportation, and distribution activities.
Regulations
May.14
Canada Vape Enforcement Action Puts VAPME Website, Trademark and China Supply-Chain Links in Focus
Canada Vape Enforcement Action Puts VAPME Website, Trademark and China Supply-Chain Links in Focus
Quebec police seized about 300,000 suspected illegal vape products and froze more than C$1.8 million in funds. Local media said vapme.ca, a website selling flavoured vape products, was shut down during the operation.
Regulations
Jun.18